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INDEX

Sr. No. Particulars Page No.


Chapter -1 INTRODUCTION TO THE TOPIC 7
1 RATIONALE OF THE STUDY 10
2 PROBLEM STATEMENT 12
3 STAKEHOLDERS THEORY 14
4 TOTAL QUALITY MANAGEMENT PRACTICES 16
5 OBJECTIVE AND AIM OF THE STUDY 18
Chapter -2 COMPANY PROFILE 19
Chapter -3 LITERATURE REVIEW 21
1 TOTAL QUALITY MANAGEMENT (TQM) 24
2 STAGES OF TQM IMPLEMENTATION 26
3 MAJOR PRINCIPLES OF TQM 30
4 BENEFITS OF TQM IMPLEMENTATION 34
5 TQM AND THE AIRLINE INDUSTRY 37
Chapter -4 RESEARCH METHODOLOGY 41
1 RESEARCH HYPOTHESIS 41
2 RESEARCH QUESTIONS 42
3 RESEARCH DESIGN 42
4 METHOD OF DATA COLLECTION 43
5 QUESTIONNAIRE 45
6 SAMPLE DESIGN 47
7 POPULATION AND SAMPLE SIZE 48
8 DATA ANALYSIS & INTERPRETATION 49
9 DATA PRESENTATION 49
10 STATISTICAL TOOLS 49
11 SCOPE OF THE STUDY 49
12 LIMITATIONS OF THE STUDY 50
13 EXPECTED CONTRIBUTION FROM THE STUDY 50
Chapter -5 DATA ANALYSIS &INTERPRETATION 51
Chapter -6 FINDINGS AND RECOMMENDATIONS 71
Chapter -7 CONCLUSION 74
Chapter -8 BIBLIOGRAPHY & REFERENCES 75
Chapter -9 ANNEXURE 77

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CHAPTER – 1

INTRODUCTION TO THE TOPIC


Total Quality Management (TQM) is a management philosophy which focuses on the work

process and people, with the major concern for satisfying customers and improving the

organizational performance. It involves the proper coordination of work processes which allows

for continuous improvement in all business units with the aim of meeting or surpassing

customer’s expectations. It emphasizes on totality of quality in all facets of an organization with

the aim of reducing waste and rework to reduce cost and increase efficiency in production.

TQM is applicable to any organization irrespective of size, and motives, even the public sector

organization are fast adopting the ideology in order to make them effective in meeting public

demands. However, the adoption of the ideology by most organization has been hampered due to

their noncompliance with the procedures and principles of TQM implementation. While some

organization, run TQM like a program which they expect to function and perform the magic all

by itself, others have used a halfhearted approach to it, by using some bits and pieces of the

principles. This has accounted for the failure of most organization in meeting up to their expected

target from implementing this ideology. There is a need to continue to buttress the benefits that

accrue to organizations from the implementation of TQM, especially in developing economies,

such as India where the adoption of these principles seems farfetched to organizations. The

Indian Aviation industry gives us a true picture of the shortcomings of organizations in their

quest to make profit at the expense of quality. With the spate of changes going on in the country

due to government reforms, the nature of competition seems to be changing from what it used to

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be. The influx of foreign and local investors into different sectors of the economy has given rise

to intense competition, thus the need for organizations to look internally into their operational

procedures and change strategically to meet up with the challenges.

The problems of poor services have consistently characterized the Indian aviation industry, with

the different stakeholders accusing one another for the inefficiency in service delivery. Even with

new investors entering the sector and adopting the TQM ideology, which have no doubt given the

industry a face lift, there persists an array of complaints by passengers making use of these

services. This research aims to find out the quality level of Air India and the problems with the

implementation of TQM and will assessthe effect of TQM implementation on the airline industry.

The deregulation of the airline industry in most part of the world marked the beginning of a new

realm of competition in the industry. The deregulation ensured that airlines set fares and service

levels based on the market situation. In trying to gain competitive advantage, airlines try to

outshine their competitors by providing quality services that meets or exceeds the expectation of

customers. Thus, customer satisfaction in the airline industry is never ending as they face

numerous challenges and competition daily. This makes Quality management critical to the

airlines as they strive to continuously improve their services to meet customers’ expectation.

Service quality is essential in the airline industryas it is a major determinant of competitiveness.

Airlines paying strict attention to service quality will be differentiated fromothers and will in the

course of doing this gain competitive advantage. Although it’s beenargued that price is a major

determinant of airline choice by customers and most airline would rather compete on it than on

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service quality. However, not managing quality will mean no added and assuring value to the

airlines.

The use of a strategic approach to quality management by airlines will therefore improve their

competitiveness. This approach ensures that airlines remain customer focused. TQM enables

innovativeness as it empowers employees to take decisions that affect their job. For the airlines to

be innovative in its offerings, it requires a flexible structure which permits cooperation between

different functions.

The implementation of TQM involves the buying in of different units involved in the process of

service delivery into the ideologyand practices of quality management, which should be

championed by the leadership of the airlines. That is, the support and primary activities of service

delivery must inculcate quality in their activities.

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RATIONALE OF THE STUDY
The change in consumer behavior has made most producers of goods and services to tailor their

products to meet the requirement of potential buyers. Thus, most organizations are concerned

about how to satisfy their customers through improved services which is tailored to meet or

exceed the expectation of customers. Even as organizations strive to meet customer’s

expectation, there still exist some flaws in the process involved in service delivery. Rather than

take the whole process as a matter of importance, most local Airlines in India narrow down their

quality approach to few operations in other to cut cost. The emergence of new airlinesinto the

market is now changing the face of competition in the industry, as these airlines tend to adopt a

total quality management ideology. The advantage this brings to them can be viewed in terms of

increased patronage over time. If quality approach is not taken seriously by the old airlines, they

might in no time lose customers which might eventually drive them out of business. Thus, there

is the need for change in organizational culture and structure to give room for a new approach to

service delivery. The implementation of TQM can be beneficial to the old airlines when the

principles are effectively adopted, for effective implementation of TQM will increase

customersatisfaction with the service offerings. The improvement in quality can result in

increased market share and profitability.

Implementation of TQM further ensures that organizations change how they perform activities to

eliminate inefficiency, improve customer satisfaction and achieve the best practice. Porter noted

that constant improvement in the effectiveness of operation is essential but not anenough factor

for organization to be profitable. TQM helps in improving the quality of products and reduces the

scrap, rework and the need for buffer stock by establishing a stable production process. TQM will

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reduce the cost of production and time of production. Many other TQM practices such as

training, information system management, relationship with suppliers etc. have a positive

impacton operational performance.

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PROBLEM STATEMENT
Generally, the business operating environment is volatile, it has become quite unpredictable and

quite competitive as the effects of globalization and internationalization of firms continue to

manifest themselves. Today, organizations are facing high competition and only those companies

who are alert on progressively scanning the business arenawill be rewarded.

Such organizations aimatdelivering the greatest value to customers with the view that as the

operating environment changes, a more pronounced transformation of the business landscape lies

ahead. Therefore, strategy is vital to the adaptation of the changing business environment.A good

strategyensuressustainability of the firm in the turbulent environment.

The airline industry has become very competitive as more and more companies compete to

outperform each other. Airlines in India are faced with high competition on different routes

especially those from well developed countries like America and Britain. Coupled with other

management challenges, airline companies in India have faced hard times which have seen some

of them like the Jet link close business. The competition has intensified both on local and

international routes forcing airline companies to rethink their strategies if they are to remain

competitive. Increased competition has seen theentry of low-cost carriers for the local market

such as the Jumbo Jet whichhas increased customer choice and convenience.

Low – cost carriersin the airline industryhave brought important benefits to passengers, enabling

millions of Indiancitizensas well as passengers from other countriesto travel more cheaplyand

frequently. Now there is effective and growing competition among international airports, brought

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about by route liberalization and airport privatization which has seen major European airports

compete for point – to – point and transfer traffic in order to expand.

Challenges such as increased incidents of terrorism world over, has seen airlines and other

aviation firms develop strategies to enhance customer safety and security to stay on top in the

uncertain business world.Changes in the political arena globally have also seen countries signing

business agreementsopening the world of trade.

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STAKEHOLDERS THEORY
The stakeholder theory examinesthe organization and those groups both internally and externally

and the relationship between them all. This theory looks at how the connection of these groups

influences how an organization conductsits activities.

Freeman (1999) gives the definition of a stakeholder as any group or individual who can affect

oris affected by the achievement of the firm’s objectives and this goes to generalize the

understanding of a stakeholder as that group to whom management of an organization need to be

responsive to.Organizations exist because of these groups’ support. Stakeholders could be

primary stakeholders like customers, shareholders, employees, suppliers and distributors or the

local community. They could also be secondary like the media, general public, business partners,

competitors, government etc.

For employees,the organization needs to provide a conducive work environment, well elaborated

duties and responsibilitiesand better paythat recognize the employees’worth. For the society,the

organization needs to take care of the environment while for shareholders; the organization needs

to earn some wealth for them.As for the government the organization needs to conform to the

rules and regulations of the land, contributing to the government’srevenue inform of tax revenue

etc. Organizations need to establish agood relationship with the suppliers and distributors.

Friedman (2006) contributed to this theory to a great extent. According to him, organization

involves grouping of those parties who have a stake in the organization with a common purpose

to managingthese groups/parties’ needs and interests. This role of managing stakeholders is a role

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played by the managers of organizations. The role is two way meaningmanagers strive to manage

organizations for the benefit of these stakeholders to ensure they participate in decision making

process and on the other hand manage the company properly so that it survives for the good of

these stakeholders.

The stakeholder’stheory examines the role of each stakeholder and how each stakeholder views

the purpose of the organization. All the stakeholders have along – term association with the firm

and therefore a “stake” in its long – term success, is recognized.

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TOTAL QUALITY MANAGEMENT PRACTICES
Total Quality Managementcan be described as that approach used bybusiness firms to improve its

processes,systems and ultimately achieve customer satisfaction. If this approach is implemented

well, it leads to reduction in production costs, improved employee morale, improved overall

business performance, improved supplier relationship and happy and satisfiedcustomers. It is

important to note that TQM is not a onetimeactivity but a continuous process.The seven

principlesof TQMare the ability to manage quality, embracing correct processes, considering

quality improvement as a continuous process, measuringquality, dealing with problem root cause

as opposed to treating symptoms, responsibility of quality involves all employees and that quality

is a long-term investment.

Total quality management as an approach puts emphasis on quality in areas, processes,

activitiesof an organization with the goal of ensuring reduced waste, reduced costs and an

increase in production efficiency. This study reviewed literature researcheson the six

TQMpractices. These practices are strategic planning, leadership and top management support,

customer focus, employee involvement, supplier quality management, training and development

and process quality management.

Total quality management implementation requires cultural change in the organization. This can

only be achieved if the top management in the organization commit to the practices that will

ensure continuous improvement in processes, encourage open communication encourage

cooperation through the entire organization. Total quality management endeavors to improve the

performance of an organization. Being successful in promoting the efficiency and effectiveness

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of a business, the top management and the chief executive must be key pioneers in embracing

TQM. Leadership is a key factor in effecting change in the organization.

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OBJECTIVE AND AIM OF THE STUDY
1) To highlight the benefit of TQM implementation in the Air India by examining the basic

principles of TQM in the airline.

2) To compare the performance of TQM Airlines and Non-TQM airlines by measuring

statistically three major added values namely:

 Customer satisfaction

 Employee satisfaction

 Operational effectiveness

The outcome of these comparison if positive, willshow the need for benchmarking by the non –

TQM airlines, in other to derive the value created by its implementation, if not then we will

assess the problems associated with the implementation of this ideology by the TQM airlines by

drawing inferences from the various interviews conducted outside the use of data gathered from

the questionnaire

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CHAPTER – 2

COMPANY PROFILE
About AIR INDIA

Air India is the flag carrier airline of India.It is owned by Air India Limited, a government-

owned enterprise, and operates a fleet of Airbus and Boeing aircraft serving 90 domestic and

international destinations. The airline has its hub at Indira Gandhi International Airport, New

Delhi, alongside several focus cities across India. Air India is the largest international carrier out

of India with an 18.6% market share.Over 60 international destinations are served by Air India

across four continents. Additionally, the carrier is the third largest domestic airline in India in

terms of passengers carried (after IndiGo and Jet Airways) with a market share of 13.5% as of

July 2017.The airline became the 27th member of Star Alliance on 11 July 2014.

The airline was founded by J. R. D. Tata as Tata Airlines in 1932; Tata himself flew its first

single engine de Havilland Puss Moth, carrying air mail from Karachi to Bombay's Juhu

aerodrome and later continuing to Madras (currently Chennai). After World War II, it became a

public limited company and was renamed as Air India. On 21 February 1960, it took delivery of

its first Boeing 707 named Gauri Shankar and became the first Asian airline to induct a jet

aircraft in its fleet.In 2000–01, attempts were made to privatize Air India and from 2006 onwards,

it suffered losses after its merger with Indian Airlines.

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Air India also operates flights to domestic and Asian destinations through its subsidiaries

Alliance Air and Air India Express. Air India's mascot is the Maharajah (Emperor) and the logo

consists of a flying swan with the wheel of Konark inside it.

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CHAPTER – 3

LITERATURE REVIEW

THE CONCEPT OF QUALITY

Quality is a significant element of production or services in keeping the customers satisfied.

There are different definitions and competing views of the term quality by different people and

the common element of the business definitions is that the quality ofa product or service refers to

the perception of the degree to which the product or service meets the customer's expectations.

Crosby, (1979) defined quality as the conformance to requirements or specifications and

suggested that to manage quality adequately; it must be able to be measured.

ISO 9000: (2000) defined quality as the degree to which a set of inherent characteristics fulfill

requirements. The American Society of Quality sees quality asbeing subjective, with different

individuals having their own perception of it. To them, quality be having two meanings – the

characteristics of the product or service ability to satisfy a need or a product or service devoid of

faults. It can be defined as a state of conformance to valid requirements where valid requirements

are defined asconditions that meets the needs of customers, measurable and achievable.

Peters, (1999) defined quality as a ‘magic bullet’ which provides lower cost, higher customer

service, better products and higher margins. He also explained that ‘quality is in the eyes of the

beholder’, this mean it is what the customer say it is.

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QUALITY MANAGEMENT

Quality management involves the formulation of strategies, setting goals and objectives, planning

and implementing the plans; and using control systems for monitoring feedback and taking

corrective actions. An organization’s quality management implementations are of two folds:

a) Satisfying customer’s expectation and

b) Improvement in the overall business efficiency

According to Juran (1988), the basic goal of quality management is the elimination of failure;

both in the concept and in the reality of products, services and processes. This does not only

mean that product, services and processes will fail in fulfillingtheir function but that their

function was not what the customer desire. Failure must be prevented in quality management and

to handle this there should be planning, organizing and controlling. Four stages of quality

management were treated by Dale et al (1994), this include inspection, quality control (QC),

quality assurance (QA) and total quality management (TQM).

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QUALITY CONTROL

Quality control is a conventional way that businesses have used to manage quality. Quality

control is concerned with checking and reviewing workthat has been done. This is mainly done

by inspection of products and services (checking to make sure that what’s being produced is

meeting the required standard) take place during and at the end of the operations process. Juran

(1988) defined quality control as the regulatory process through which we measure that actual

quality performance, compare it with standards, and act on the difference.

It is a more sophisticated management tool aims at preventing goods and services which do not

conform to basic requirements from getting to the final consumer. Quality controls are

operational techniquesand activities that are used to fulfill quality requirement (ISO 8402, 1994).

As a measure of quality, quality control however is costly when viewed in terms of tangible and

intangible variable cost. It could also result in the production of substandard goods and services

when conducted late in the process of production. Due to the problems associated with quality

control, businesses now focus on other avenues or means through which quality could be

managed effectively. The solving of a problem after a nonconformance issue has been created is

not an effective route towards eliminating the root cause of a problem.

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TOTAL QUALITY MANAGEMENT (TQM)
This is the highest level of quality management. It is concerned with the management of quality

principle in all the facets of a business including customers and suppliers. Total Quality

Management (TQM) involves the application of quality management principles to all aspects of

the organization, including customers and suppliers, and their integration with the key business

processes. It is an approach which involves continuous improvement by everyone in the

organization. TQM is a principle which involves the cooperation of everyone that aids the

business process of an organization and it involves all the stake holders of an organization. ‘TQM

is defined as a philosophy embracing all activities through which the needs and expectations of

the customer and the community, and the objectives of the organization are satisfied in most

efficient and cost effective way bymaximizing the potentials of all employees in a continuing

drive for improvement.’

TQM is an effective system for integrating the quality development, quality maintenance and

quality improvement efforts of various aspects of a system to enable services at most economical

level and derive full satisfaction. TQM is aimed at the satisfaction of customers’ needs in an

efficient, reliable and profitable way. It involves a radical direction through which an

organization perform her day to day operations in other to ensure that quality is put at the top of

mind of every employeeand departments in which they operate. TQM as the synthesis of the

organizational, technical and cultural elements of a company. They opined that TQM is a heart

and mind philosophy which recognizes that company culture affects behavior which in turn

affects quality

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TQM as an approachto improve competitiveness efficiently and flexibility for the whole

organization. TQM can be defined as a management system which consist of interdependent unit

namely core values, techniques such as process management, benchmarking customer focused

planning or improvement teams and tools such as control charts. TQM as a corporate culture that

is characterized by increased customer satisfaction through continuous improvement involving all

employees in the organization. For an organization to be truly effective each part of it must work

properly together towards the same goal, recognizing that each person and each activity affects

and in turn is affected by each other – the methods and techniques used in TQM can be applied

throughout any organization.’

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STAGES OF TQM IMPLEMENTATION
Six different levels of TQM implementation, these includes: uncommitted, drifters, tool pushers,

improvers’ award winners and world class. According to them, these stages do not necessarily

represent the stages through which organizations pass on their TQM journey. These levels

according to Dale et al are to help organization in identifying their weaknesses and proffering

solutions to them using continuous improvement.

1) Uncommitted: This stage represents organizations that have not started a formal

procedure of quality improvement. Organizations in this stage view quality improvement

as an added cost and thus have no investment in quality improvementprograms such as

training of employees. Organizations in this stage are termed uncommitted because they

are not aware of the benefit of quality improvement and lack an appropriate quality

improvement plan. The management of these organizations are characterized by an

emphasis on return of sales and net asset employed. Other common features of this level

include:

 A major concern for meeting sales target. Employees show little or no concern for quality.

 Full inspection of materials is carried on incoming material and at strategic points during

the process of production.

 Lack of communication among the various units ofproduction even between the top

management and front-line employees.

 Minimal contact with customers.

2) Drifters: These are organizations that have engaged in a process of quality improvement

for up to three years and have followed the available advice and wisdom of TQM. The
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management of the organizations in this stage tend to review the performance of the firm

based on the implementation of TQM and expect immediate gains from it. These

organizations view TQM as a program rather than a process thus making the policy have a

low profile among employees. Organizations with such an approach to management are

termed drifter because they drift from one program to the other in a start stop fashion with

concepts, ideas and initiative being reborn and re-launched under different guises.

Organizations which fall within this stage usually have no plan for the deployment of

TQM philosophy throughout the organization thus limiting the implementation of TQM

to the managers while leaving the shop floor out of the implementation process.

3) Tool pushers:Organizations in this category look atquality improvement programs but, in

most cases, fail to use such tools appropriately. They adopt quality management tools

such as quality cycles, quality improvement groups. These organizations often blame the

failure of TQM on the tools adopted. Organizations in this stage find it difficult to sustain

the momentum of its improvement initiatives and it is continually on the lookout for new

ideas. Some characteristics of the drifters includes:

 A major concern for meeting sales target.

 Solving current problems rather than future problems

 Non commitment of every senior management to TQM

 TQM does not operate in every facet of the organization.

Companies under this category are more experienced in quality improvement when compared

with the drifters.

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4) Improvers:Organizations in this category have engaged in a process of quality

improvement for between five and eight years and during this time made important

advances. They understand that total quality involves long term cultural change and have

recognized the importance of cultural change and the importance of quality improvement.

Organizations in this category are termed improvers because they are moving in the right

direction and have made significant progress but still have a long way to go. This is

because the implementation of TQM is dependent on a few managers to sustain the drive

and direction of the improvement strategy.

5) Award Winners: These organizations are termed award winners because they have

attained a point in their TQM maturity where the kind of culture, values and trust

capabilities relationship and employee involvement has become total in nature and

encompasses the whole organization. In these types of organization every member of staff

recognizes the importance of quality and all effort is made to maintain a quality standard.

True competition based on product or service quality can only be attained when an

organization has gotten to a stage where it can compete for awards. Organizations in this

stage are believed to havemanned the process of quality improvement as the organizations

have all it takes to achieve greater heights.

6) World class: These organizations are characterized by the total quality improvement and

business strategies to the delight of customers. The organizations that have attained this

stage are always in search ofopportunities to improve their services to satisfy customers.

It was further explained that the focus of TQM here is on enhancing competitiveness by
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influencing the perception of customers to the company through the continuous

innovation of the service offering. The impact of TQM is felt more here as it is aimed at

continuous improvement to enhance customer appeal. The taskof satisfying customers is a

goal for everyone in the organization.

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MAJOR PRINCIPLES OF TQM
1) TOP MANAGEMENT COMMITMENT AND LEADERSHIP: TQM requires

effective change in organizationalculture, and this can only be made possible with the

deep involvement/commitment of management to the organization’s strategy of

continuous improvement, open communication and cooperation throughout the

organization. TQM implementation improves the organizational performance by

influencing other TQM dimensions. To be successful in promoting business efficiency

and effectiveness, TQM must start at the top with the chief executive'. Leadership as

being critical in effecting organizational change most especially in the areas of building

effecting relationship with suppliers and others involved in the process of value delivery.

The commitment of leadership to the TQM strategy as shown in their daily disposition to

work will go a long way in motivating employees to deliver quality services that exceeds

the expectation of customers.

2) CULTURAL CHANGE: TQM is a way of managing the whole business process to

ensure complete customer satisfaction at every stage, both internally and externally. An

approach to changing the cooperate culture of an organization to be customer centric. The

need for cultural change is stressed by the role it plays in the life of an organization.

Culture influences what the executive groups attend to, how it interprets information and

the response it makes to changes in the external environments’ – it is exceedingly crucial

in the drawing up of the strategic position of the firm as it dictates how members of staff

approach their day to day activities. Culture is said to help an organization in planning

and implementing their strategy.

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3) CUSTOMER FOCUS: TQM is an ideology which is focused on the satisfaction of

customer’s need. Thus, most organizations try as much as possible to meet or exceed

customer’s expectation in their daily activity and their long-term plan. TQM require

organizations to develop a customer focused operational processes and at the same time

committing the resources that position customers and meeting their expectation as an

asset to the financial wellbeing of the organization. It is necessary for organization to

maintain a close link with their customers in order to know their requirements and to

measure how it has been successful in meeting up to customers’ requirements. A high

level of customer satisfaction is obtained solely by providing services or products whose

features will satisfy customer’s requirements or needs. The customer’sneeds and

expectation serve to drive development of new service offering. This is since customers

determine the quality level of service delivered.

4) TOTAL INVOLVEMENT: In the traditional sense, employee involvement was

conceived to mean a ‘feeling of psychological ownership among organizationalmembers.

Unlike what obtains in the TQM ideology, the traditional employee involvement is

narrow-minded; it is job – centered rather than process – centered. The TQM approach

involves ‘achieving broad employee interest, participation and contribution in the process

of quality management’. The concept assumes a company – wide quality culture, which

gives autonomy or a level of freedom to employees in taking decisions that affect their

job. Thus, employees are encouraged to perform function such as information processing,

problem solving and decision-making. The main aim for the total involvement of

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employee is to boost internal and external customer’s satisfaction by developing a flexible

environment which allows for innovation.

5) CONTINUOUS IMPROVEMENT: Continuous improvement means ‘a commitment to

constant examination of the technical and administrative process in search of better

methods’. Continuous improvement as the relentless pursuit of improvement in the

delivery of value to customers. Customer satisfaction can be attained only through the

relentless improvement of processes that create product or service. Total quality

management involves the design into the process of production, a system of continuous

improvement. This contains regular cycles of planning, execution and evaluation. The

focus on continuous improvement will lead to the formation of formidable team whose

membership is determined by their work on the detailed knowledge of the process, and

their ability to take improvement action’.

6) TRAINING: Training helps in preparing employees towards managing the TQM

ideology in the process of production. Training equips people with the necessary skills

and techniques of quality improvement. It is argued to be a powerful building block of

business in the achievement of its aims and objectives. Through training, employees can

identify improvement opportunities as it is directed at providing necessary skills and

knowledge for all employees to be able to contribute to ongoing quality improvement

process of production. Training and development program should not bea onetime event

but a life – long process.

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7) TEAMWORK: A well-structured team will aid the effective production of goods and

services through the integration of activities involved in the process of production.

Teamwork is a key feature of involvement. To him, teamwork aids the commitment of the

workforce to the organizational goals and objectives. It is essential to have a team made

of people with right attitudinal disposition to working in groups torealize the gains of

quality management. Teamwork is a way of stimulating positive work attitude, which

includes loyalty to the organization and a focus on organizational goals. Teamwork

contributes to the generation of improvements that are proposed by employees. To them,

the proposed improvements have a way of changing the attitudes of employees that are

resistance to change.

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BENEFITS OF TQM IMPLEMENTATION
The effective implementation of TQM will increase customer satisfaction with the service

offerings. Quality enhances customer loyalty through satisfaction; this in turn can generate repeat

business and lead to the attraction of new customers through positive word of mouth. The word

of mouth communication will helpin cost reduction. The improvement in quality will result in

increased market share and profitability (Figure).

Total quality management is a management philosophy which emphasizes the devolution of

authority to the front-line staff. It ensures the participation of everyone in the decision-making

process through activities such as quality cycles and teamwork. The question is, does this

devolution of authority leads to employees’ satisfaction or not? Motivations theories indicate that

two major forms of motivation exist – the intrinsic and the extrinsic motivation. While some will

argue that the best form of motivation is monetary incentive, others argue for self fulfilment and

recognition.

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The motive behind the intrinsic reward is to provide the employee with some autonomy which

empowers him to take decisions that affects his job, thus making him responsible and

accountable. This is said to increase the employee’s level of job satisfaction. The implementation

of TQM ensures that every worker in the organization does his work with quality the first time,

thus improving the efficiency of operation and avoiding some cost associated with waste. This in

turn will offer more value to customers interms of price and service quality, thus making them

satisfied.

Implementation of TQM further ensures that organizations change how they perform activities to

eliminate inefficiency, improve customer satisfaction and achieve the best practice. Porter noted

that constant improvement in the effectiveness of operation is essential but not anenough factor

for organization to be profitable. TQM helps in improving the quality of products and reduces the

scrap, rework and the need for buffer stock by establishing a stable production process. He

argued that TQM will reduce the cost of production and time of production. Continuous

improvement which is a feature of TQM is said to reduce the product cycle time thus improving

productivity. Many other TQM practices such as training, information system management,

relationship with suppliers etc. have a positive impact on operational performance. The efficient

managementhandling of these practices will improve efficiency and no doubt affect the

profitability of the firm.

TQM can minimize the total cost of production through ‘sole sourcing’. The cost in this case is

reduced by limiting the number of suppliers used by the firm and providing them with necessary

training and technology. The efficient functioning of an operation will then depend on how well

the suppliers meet up with the expectations of the organization. Therefore, the TQM principle
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emphasizes the totality of quality inall facets which includes the suppliers. TQM endorses the

total quality approach in creating customer satisfaction. The total quality approach creates an

integrated method of analyzing operation by focusing the processes of production on customer

satisfaction. Thus, it requires that quality be built into all the processes to be efficient in the

overall operation. The effectiveness of TQM organizations should be measured by the degree

of integration with their supplier bases because supplier quality management is a critical

component of TQM. Operational effectiveness is then a function of how well the various units of

an organization carry out their functions with quality. This study will try to access if the TQM is

responsible for the effective operation of the new local airlines in the aviation industry in India.

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TQM AND THE AIRLINE INDUSTRY
The deregulation of the airline industry in most part of the world marked the beginning of a new

realm of competition in the industry. The deregulation ensured that airlines set fares and service

levels based on the market situation. In trying to gain competitive advantage, airlines try to

outshine their competitors by providing quality services that meets or exceeds the expectation of

customers’. Thus, customer satisfaction in the airline industry is never ending as they face

numerous challenges and competition daily. This makes Quality management critical to the

airlines as they strive to continuously improve their services to meet customers’

expectation.Service quality is necessary in the airline industryas it is a major determinant of

competitiveness.

Airlines paying strict attention to service quality will be differentiated from others and will in the

course of doing this gain competitive advantage. Although it’s been argued that price is a major

determinant of airline choice by customers and most airline would rather compete on it than on

service quality. However, not managing quality will mean no added and assuring value to the

airlines.

The use of a strategic approach to quality management by airlines will therefore improve their

competitiveness. This approach ensures that airlines remain customer focused. Committed

leadership to the strategy ensures that the airline offerings are continually updated to meet or

exceeds customers’ requirements. The main cause of poor performance by service firms is that

they do not know what is expected from them by customers. Airlines need to consistently

monitor the perception of customers to their services to know where the gap lies between the

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offered service and expectations of customers. Acceptable level of customer satisfaction is

attained when passenger’s expectation has been met or exceeded. To ensure customer

satisfaction, everybody in the organization including suppliers will need to have the customers at

heart and work towards meeting their needs and expectations.

TQM enables innovativeness as it empowers employees to take decisions that affect their job. For

the airlines to be innovative in its offerings, it requires a flexible structure which permits

cooperation between different functions. It is noted that intensive cooperation, empowerment and

open communication facilitate innovation. Three major reasons can be identified as the basis for

innovation:

 to satisfy customer’s needs and requirement

 to meet the corporate objectives of the company

 to outperform competitors through product differentiation

These three reasons are interrelated as one is said to lead to the other. The satisfaction of

customers will lead to increased patronage which will eventually lead the company in meeting its

corporate objective of profitability, thus making more money for investors.

Our view of the airline industry as a network of activities involving different operating units

some of which are outsourced due to regulations in the industry and also due to the need to

benefit from the expertise of others who are specialized in such field so as to derive economies of

scale. The implementation of TQM involves the buying in of these different units involved in the

process of service delivery into the ideology and practices of quality management, which should

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be championed by the leadership of the airlines. That is, the support and primary activities of

service delivery must inculcate quality in their activities.

This illustration below (Figure) depicts a typical organizational work process with different units

having its own function, where each function affects and in turn is affected by the output of the

other. Thus, the efficient functioning of the whole process will create an added value to the

organization. This can only be attained if quality iswell managed at the different operational

activity.

Looking at the critical success factors in the Table below, the issues of quality management is

well enshrined into the various factors, as it takes a management which is customer driven to put

these in place. As capitalization and improved funding on its own without the change in ideology

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towards managing these resources will not guarantee success. What is required here is the buying

in of all stake holders into an ideology which will see that resources are efficiently deployed and

utilized towards achieving its aim of achieving of satisfying customers and all the stake holders.

Critical Success Factors of Air India

Capital Technology Customer Service

Adequate Capitalization Upgrades the IT Creating a market focus

Acceptable Funding Infrastructure Timely Service Delivery

Enhanced Performance

Adequate Capacity Utilization Customer Focused Services

Market driven Pricing

Safety People Operational Efficiency

High safety standards Skilled Least Cost Operation

Effective Maintenance Culture Innovation Shield against competition

Well equipped to handle Shared Vision threats

emergencies Well-Motivated

Adequate fleet of aircraft Empowerment

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CHAPTER - 4

RESEARCH METHODOLOGY

RESEARCH HYPOTHESIS
Hypothesis 1: TQM Airlines will have a higher degreeof employees’ satisfaction than NON-

TQM airlines.

 H0: There is no difference in employee’s satisfaction in TQM airlines and non-TQM

airlines.

 H1: There is a significant difference in employee satisfaction between TQM airlines and

non-TQM airlines.

Hypothesis 2: Airlines adopting TQM approach will have greater customer satisfaction than that

not applying total quality management.

 H0: There is no difference in customer satisfaction in TQM airlines and non – TQM

airlines.

 H1: There is a significant difference in customer satisfaction between the TQM Airlines

and non – TQM Airlines.

Hypothesis 3: Airlines adopting TQM approach will havegreater operational performance than

non – TQM airlines.

 H0: There are no difference in the airline operational performance of TQM airlines and

non – TQM airlines

 H1: TQM airlines are more effective in their operation than non-TQM airlines

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RESEARCH QUESTIONS
In this report, we will intend toanswer the following questions:

1) What is the stand of the Air India today as regards TQM?

2) What are the quality levels of Air India?

3) What are the problems possibly faced in the implementation of TQM in the Air India?

4) Who is likely to the effect of TQM implementation on the Air India?

5) What will be the benefit of TQM implementation in the Air India?

6) What are the basic principles that the Air India can adopt to implement TQM?

7) Will Air India see TQM a means to improve their services?

RESEARCH DESIGN
Research design can be described as ‘a logical model of proof that allows the researcher to draw

inferences concerning causal relations among the variables under investigation’. According to

Sekaran (2003), the various issues involved in the research design concern the purpose of the

study, the type of investigation, the type of the sample, which will be used, the methods by which

the required data will be collected, as well as the process that will be followed for the analysis.

Induction and deduction are two ways in drawing conclusion to a research. According to Sekaran

2003, ‘deduction is the process by which we arrive at a reasoned conclusion by logical

generalization of a known fact, while induction on the other hand, is a process where we observe

a phenomenon and, on the basis, arrive at a conclusion’

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METHOD OF DATA COLLECTION
Data collection is simply the ways information is gathered. Secondary Data and primary data

collection are two ways ofcollecting information.

PRIMARY DATA

Primary data is the information gathered directly from the researcher, when secondary data is not

available or is unable to contribute meeting research objectives. The collection of primary data

will involve the use of research instruments, such as questionnaires and interview schedules that

will be constructed exclusively for the purposes of a specific study.

For the purposes of this research, primary data will be collected by questionnaire and interviews.

SECONDARY DATA

Secondary data is information collected by othersfor purposes, which can be different than those

of the researcher. It is a synthesis of published and unpublished documents related to the research

and it is of highly importance, as it comprises the logical framework of the research.

The collection of secondary data has both advantages and disadvantages, one of the foremost

advantages of using secondary data is that it helps the researcher formulate and understand better

the research problem, broadening at the same time the base for scientific conclusions to be drawn.

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Nevertheless, it should be taken under consideration that other researchers, organization or

government departments for studies with different objectives and purposes collected the data;

therefore, it might not be suitable for the current research.

For the purpose of this study, the secondary data will be collected via textbooks, academic

articles and journals related to the implementation of TQM. Also, several online resources will be

used to get information for the literature review.

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QUESTIONNAIRE
Questionnaire is a research instrument consisting of series of questions and other prompts for the

purpose of gathering information from respondents. Mostoften it is designed for statistical

analysis of the responses. A questionnaire is a pre-formulated written set of questions to which

respondents’ records their answers, usually within rather closely defined alternatives’.

A questionnaire will be structured for this research and will be administered to the front-line

staffs of the Air India; which will include the cabin crew, ticketing staff, and customer service

agents, operations managers etc. The choice of the questionnaire as one of the means of gathering

data is borne out of the fact that it is cheap, do not require as much effort from the questioner as

verbal or telephone surveys, not time consuming and often have standardized answers thatmake it

simple to compile data. It allows the respondents to supply answers that are confidential to them.

These questionnaires will be handed directly to the respondents which will give us the privilege

to introduce the topic and encouragement in answering the questionnaire.

The questionnaire will be consisting of four major parts, which will focus on the areas of interest

of the research.

 The first part will be related to the commitment of management to the implementation of

TQM.

 The second part will be related to customers satisfaction to the services rendered.

 The third part will be related toemployee’s satisfaction,the extent to which employees are

motivated and encouraged in the implementation of TQM.

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 The fourth and final part will be related to factors responsible for effective or

ineffectiveness operation.

The questionnaire will consist of closed ended and open-ended questions. Open-ended

questions are questions to which there is not one definite answer. Open-ended questions may

be a good way to break the ice with a survey, giving respondents an opportunity to answer in

their own words. The responses to open-ended questions can be very useful, often yielding

quotable material, and the drawback to open-ended questions is that the responses are more

difficult to catalogue and interpret.

Closed-ended questions have a finite set of answers from which the respondent chooses. One

of the choices may be "Other." It is a good idea to allow respondents to write in an optional

response if they choose "Other." The benefit of closed-ended questions is that they are easy to

standardize, and data gathered from closed-ended questions lend themselves to statistical

analysis.

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SAMPLE DESIGN
Sampling is divided into two main categories: probability and non-probability and these will

be used in this research. In probability sampling, the elements of the population have a

definite chance, but not necessarily equal, of being included to the sample. On the contrary, in

non-probability sampling, the odds that anelement will be included in the sample are

unknown.

The non-probability sampling technique will be adopted using the quota sampling. This is

since the staffs that deal with customers directly in an organization will be in the best position

in providing the information required for this research. However, the use of this method will

be deficient in that the result cannot be generalized totally but it is believed to give us the

required information for the research and will also offer the advantage of saving costs and

time.

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POPULATION AND SAMPLE SIZE
The population of study will be drawn out from Air India Operations department.

SAMPLE SIZE: 100

100 questionnaires will be distributed in this survey. These questionnaires will be distributed

among employees who deal directly with customers on daily basis. The choice for employees

with customer facing role is borne out of the fact that they are believed to know the customers

more since they have daily interactions with them and are supposed to know what the

customers complain about and what they are happy with.

The operations manager will be interviewed also give insight into the operational activities of

the airlines and the quality approach to service delivery.

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DATA ANALYSIS & INTERPRETATION
Classification & tabulation of the raw data collected through questionnaire will be converted

to useful information by organizing and compiling the data obtained from responses to the

questionnaire Simple tabulation of data using tally marks.

DATA PRESENTATION
The data would be presented by way of suitable charts and diagrams

STATISTICAL TOOLS
Suitable statistical tools shall be used to carry out analysis and prepare graphs, pie- charts etc.

SCOPE OF THE STUDY


The scope of the Study is limited to Air India only.

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LIMITATIONS OF THE STUDY
 The research will be limited to front line staffs of the airline due to time limit and

difficulty in reaching the management.

 The front-line staffs do not represent the perception of the companies; thus, the overview

of this research will be limited.

 Also, the sampling techniques as a result of time and the cost involved, a non-probability

sample will be adopted to get the information quicker from the companies.

 The inability to show the financial impact of TQM implementation also limited this study,

in that organizations wanting to adopt the TQM ideology are mostly concerned about the

financial gains from the implementation.

 The sample size to study is Limited to the area only

 Some of the sampling and non-sampling errors may creep into the study.

 The nonuse of financial data will be as a result of firms being reluctant to share such

information with the researchers.

EXPECTED CONTRIBUTION FROM THE STUDY


This study is both theoretically and practically relevant because it involves a working procedure

of how to be more cost effective within TQM implementation framework. This study will serve

the purpose of TQM implementation and performance in other Airlines Industry as well Non –

Airlines Industry.

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CHAPTER – 5

DATA ANALYSIS AND INTERPRETATION


1. Gender

Table 1

Gender Particulars Percentage


Male 38 38%
Female 62 62%
Total 100 100%

Graph 1

Gender

38%

Male
62%
Female

Interpretation: A representation of gender in the population of the 100 respondents in

the Air India is shown in Figure 1. The percentage of the respondents based on gender is

38% male and 62% female.

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2. Department

Table 2

Department Particulars Percentage

Ticketing and Reservation 42 42%


Customer service agent 35 35%

Cabin Crew 23 23%

Total 100 100%

Graph 2

Department

23%
42%
Ticketing and Reservation
Customer service agent
35% Cabin Crew

Interpretation: Questionnaires were distributed amongst respondents in three different sections

of the airlines, namely ticketing and reservation, customer service and cabin crew. Figure 2 is

used to illustrate the representation of each section for the Air India. The ticketing and

reservation section had 42 respondents represents 42% of the population. The customer service

agents had 35respondents, represent 35% of the total population. Finally, for the cabin crew

represent 23% of the total population.

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3. Have you heard of TQM?

Table 3

Knowledge about the TQM Particulars Percentage

Yes 43 43%

No 57 57%

Total 100 100%

Graph 3

Knowledge about the TQM

43%

57% Yes
No

Interpretation: The knowledge of TQM is lesser amongst employee of Air India. Only 43%

respondents of Air India are conversant with the principles and the implementation of TQM

whereas 57% has no knowledge about TQM and its related principles.

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4. Are you satisfied with the authority given to you by your employer?

Table 4

Satisfaction level with Particulars Percentage

Authority

Extremely Satisfied 10 10%

Satisfied 21 21%

Indifferent 19 19%

Unsatisfied 48 48%

Extremely unsatisfied 2 2%

Total 100 100%

Graph 4

Satisfaction level with Authority


60%
50%
40%
30%
20%
10% Satisfaction level with
0% Authority

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Interpretation: From the distributions in Tables 4, it is observed that most respondents from

are not satisfied with the authority given to them to do their job. Only 31% employees have

satisfaction with the given authority to them.

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5. Are you satisfied with the Regular Training provided by Air India?

Table 5

Satisfaction level with Particulars Percentage

Regular Training

Yes 83 83%

No 17 17%

Total 100 100%

Graph 5

Satisfaction level with Regular


Training

17%

Yes
No
83%

Interpretation: From the data analysis we can see that 83% respondents are satisfied with the

regular training conducted at Air India for the staff development.

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6. Do you satisfied with the management encourage the teamwork effort?

Table 6

Satisfaction level with Particulars Percentage


management encourage the
teamwork effort
Extremely Satisfied 16 16%

Satisfied 56 56%

Indifferent 15 15%

Unsatisfied 5 5%

Extremely unsatisfied 8 8%

Total 100 100%

Graph 6

Satisfaction level with management


encourage the team work effort
56%
60%
50%
40%
30%
16% 15%
20% 8%
10% 5% Satisfaction level with
0% management encourage
the team work effort

Interpretation: Overall 72% employees are satisfied that management encourages the teamwork

effort whereas 15% response was neutral and rest 13% were dissatisfied.

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7. How are you satisfied that employees are involved in decision - making?

Table 7

Satisfaction level with Particulars Percentage


decision - making
Extremely Satisfied 8 8%

Satisfied 20 20%
Indifferent 18 18%
Unsatisfied 28 28%
Extremely unsatisfied 26 26%

Total 100 100%

Graph 7

Satisfaction level with decision -


making
28% 26%
30%
25% 20% 18%
20%
15%
8%
10%
5% Satisfaction level with
0% decision - making

Interpretation: only 28% employees are satisfied that about their involvement in decision –

making. Whereas large number of percentages i.e. 54% was dissatisfied that management never

asked the involvement of employee in decision - making process. Hence, Air India needs to

improve this to gain the employee satisfaction.

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8. Do you think Air India provide you Job flexibility?

Table 8

Satisfaction level with Job Particulars Percentage

flexibility

Yes 86 86%

No 14 14%

Total 100 100%

Graph 8

Satisfaction level with Job flexibility

14%

Yes
No
86%

Interpretation: 86% employees are satisfied with the job flexibility at Air India, which is a good

sign for the company too because if the employees are happy company can achieve its goals

easily.

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9. Do you think company provides monetary and non – monetary benefits to boost

employee motivation level?

Table 9

Motivation level Particulars Percentage

Yes 68 68%

No 22 22%

Total 100 100%

Graph 9

Motivation level

22%

Yes
No
68%

Interpretation: 68% employees are agreeing that company provides monetary and non –

monetary benefits to boost employee motivation level whereas 22% are not satisfied with the

motivational benefits.

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10. How satisfied are your customers from the complaint handling process of Air

India?

Table 10

Satisfaction level with Particulars Percentage

complaint handling

process

Extremely Satisfied 9 9%

Satisfied 33 33%

Indifferent 38 38%

Unsatisfied 15 15%

Extremely unsatisfied 5 5%

Total 100 100%

Graph 10

Satisfaction level with complaint


handling process
38%
40% 33%
35%
30%
25%
20% 15%
15% 9%
10% 5% Satisfaction level with
5%
0% complaint handling
process

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Interpretation: Overall 42% employees are satisfied with the level of complaint handling

process in Air India whereas 38% didn’t said anything followed by 20% who are not at all

satisfied with the level of complaint handling process prevalent in the organization.

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11. Do you think defection of customer is a result of poor service?

Table 11

Customer defection is Particulars Percentage

result of poor service

Yes 68 68%

No 8 8%

Can’t say 26 26%

Total 100 100%

Graph 11

Customer defection is result of poor


service

26%

Yes
8%
No
68%
Can’t say

Interpretation: 68% employees are agreeing that defection of customer is a result of poor

service followed by 26% who said they can’t say which factor is responsible for customer

defection and 8% employees said No.

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12. Do you think your organization respond quickly to customer complaint?

Table 12

Respond to Customer Particulars Percentage

complaint

Yes 88 88%

No 5 5%

Can’t say 7 7%

Total 100 100%

Graph 12

Respond to Customer complaint


5%
7%

Yes
No
Can’t say
88%

Interpretation: 88% respondents are agreeing that organization respond quickly to customer

complaint followed by 5% who disagree with this point and 7% said they can’t say about it.

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13. Do your company honors and commitment and guarantee to all customers?

Table 13

commitment and Particulars Percentage

guarantee to all

customers

Yes 79 79%

No 3 3%

Can’t say 18 18%

Total 100 100%

Graph 13

commitment and guarantee to all


customers

18%
3%
Yes
No
79% Can’t say

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Interpretation:A very large percentage i.e. 79% respondents agree that company honors and

commitment and guarantee to all customers followed by 3% who were disagree and 18% said

they can’t say about that company honors and commitment and guarantee to all customers.

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14. Does the accessibility of services to customers’ aids the efficiency in operation?

Table 14

Efficiency in operation Particulars Percentage

Yes 86 86%

No 2 2%

Can’t say 12 12%

Total 100 100%

Graph 14

Efficiency in operation

2% 12%

Yes
No
Can’t say
86%

Interpretation: 86% respondents were agreeing that accessibility of services to customers’ aids

the efficiency in operation followed by 2% who were disagree whereas 12% has neutral response.

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15. Does Air Indiakeep to its flight schedule?

Table 15

Flight schedule Particulars Percentage

Yes 67 67%

No 8 8%

Can’t say 25 25%

Total 100 100%

Graph 15

Flight schedule

25%

Yes
8%
No
67%
Can’t say

Interpretation: 67% respondents agree that Air India keep to its flight schedule followed by 8%

said they are not agreeing with this and 25% said they have no idea about it. So, overall company

needs to check the factors for flight schedule delay if happens frequently.

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16. Do you think Flight delays and cancellation are due to controllable factors?

Table 16

Flight delays and Particulars Percentage


cancellation are due to
controllable factors
Yes 23 23%

No 36 36%

Can’t say 41 41%

Total 100 100%

Graph 16

Flight delays and cancellation are due


to controllable factors

23%
41%
Yes
No
36% Can’t say

Interpretation: Very few respondents (23%) agree that flight delays and cancellation are due to

the controllable factors whereas 36% denied with this fact followed by 41% who said they can’t

say about these as they have no idea that which factors is responsible for the flight delays and

cancellation.

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17. Does your supplier’s operation aid the efficiency in your operations?

Table 17

Flight schedule Particulars Percentage

Yes 23 23%

No 36 36%

Can’t say 41 41%

Total 100 100%

Graph 17

Flight schedule

23%
41%
Yes
No

36% Can’t say

Interpretation: 23% respondents are agreeing that supplier’s operation aid the efficiency in our

operations whereas 36% said No and 41% said they can’t say about it.

Page 70 of 81
CHAPTER – 6

FINDINGS AND RECOMMENDATIONS


The arguments of this report are focused on the need for Air India to adopt the TQM principles,

due to the benefit derived from it in terms of customer satisfaction, operational effectiveness and

employee satisfaction. The Air India must take quality issues rather seriously as it is a major

determinant of their continuous existence. In the airlines industry, the main essence of TQM is to

provide services which will make customers satisfied, this in turn bring about repeat purchase

thus increasing sales and profitability of the organization. The findings of this report are there by

discussed first based on individual hypothesis. The first hypothesis overall result first states that

Air India have a higher degree of employee satisfaction. Employee satisfaction in the Air India

could be seen to have been derived from the combination of both intrinsic and extrinsic factors,

Intrinsic factors such as involvement in decision making regular training and devolvement of

authority. The principle of total involvement, with the aim of meeting customer’s need through

delegation of authority and empowerment of employees have contributed greatly to the success of

these organizations in their quest to make customers satisfied. This report to an extent shows that

the satisfaction of customers is dependent on how well the employees are satisfied. This has a

psychological effect on employees in terms of motivation, as it limits them from taking necessary

action as at when due and removes the feeling of intrinsic reward as employees do not feel

responsible and accountable, thus reducing their satisfaction level. Motivation for employees is

basically is based on the recognition of individual effort, which appears to be higher when

compared to the Air India. The implication of this is to encourage teamwork which is a major

motivator of employees in the quest to deliver quality service in their daily operations and to

Page 71 of 81
prevent internal competition amongst employee. he objective behind the implementation of

TQM is to create an environment which is focused on fulfilling the desires of customers while

meeting objectives of the company in terms of profitability. In the creation of this environment,

the organization becomes sensitive to changes in customers desires and tailor her product

offerings to meet or exceed customers need. Customers are only willing to use a service again if

the features of this service consistently meet or exceed their expectations.

The idea behind the implementation of TQM is to ensure that adequate attention is given to

quality to give room for an error free transactional process and less room for customer complaints

while maximizing customer satisfaction. It is proven that satisfied customers are more willing to

recommend quality service to others asshown in this report. For an organization to be effective in

terms of operations there is the need for every member of the organization to be involved and

committed to this objective as the essence is to have a functional work environment which is

efficient and focused on meeting customers’ demands. As it expected that the commitment of

management and employees will aid the efficiency in operations of the organization.

From the interviews conducted, it was noted that, the airlines attributed the problems of delays to

the suppliers and poor state of infrastructure at the airports. Among the reasons cited are

consistent break down of the conveyor belts, poor airport traffic control and other exigencies

such as closure of the runway due to VIP movement.

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SUGGESTIONS

Quality issues must be taken seriously by any organizations in order to remain competitive, as the

maintenance of high and consistency of high-quality service will ensure that customers continue

to patronize based on the trust built over time.

It must be noted that the gains of a total quality culture far outweigh the cost of implementation

as seen expressed in this research and the competitive nature of the industry calls for the

organization to refocus its strategies to suit the market demands. In this case, it would require an

ideology which supports this strategic thinking to meet up with the challenges.

In summary, meeting up to the challenge posed by competition in the industry today, will require

a change in organization culture by imbibing the TQM ideology and its principles, this will

ensure that the organizations are focused on satisfying their customers and not only concerned

about profits. For the TQM airlines, the strategic approach to management has paid off, but they

have not gotten to the height of the world class airlines as theystill experience some amount of

complaints from customers. These shows there are some lapses in the implementation process of

TQM. This is expected as these airlines are still within two to three years of TQM

implementation. There is the need for continuous improvement, thus areas which have accounted

for those complaints should be worked upon and proper procedures which will minimize these

complaints if not wiped out completely should be put in place. Even as they have the greater

market share, the competition is not resting as there is the need for them to continue to

benchmark their services with the world class airlines and update their services regularly.

Page 73 of 81
CHAPTER – 7

CONCLUSION
The findings of this research attest to the benefits that accrue from the implementation of TQM. It

has shown that it is a strategic tool for an organization to employ in the quest to remain

competitive. If adequately deployed, the principle brings about added value to an organization in

terms of efficiency in operation, employee satisfaction, customer satisfaction, and even

profitability. The finding also revealed that the relentless pursuit of improvement in service

delivery bring about added value to customers by making the organization focused on satisfying

customer’s needs, while teamwork and training empowers employees for the continuous

improvement drive of the organization. The implication of managing every facet of the

organization was revealed, as each production unit is seen to affect and in turn affected by others.

That is, a dysfunction in the process of service delivery has an overall effect on the total

production process, thus showing the need for a holistic approach which involves every

functional area to be managed effectively. The implication of not managing quality effectively

was shown in the case on the non-TQMairlines, which resulted in inefficiency and loss of

patronage due to dissatisfaction of customers. The importance ofinvolving the suppliers in the

whole value chain was also highlighted, as the effectiveness of an operation depends on how well

it manages both the internal and external service delivery process.

Page 74 of 81
CHAPTER – 8

BIBLIOGRAPHY &REFERENCES
i. Alamdari, F. (1999), ‘Airline In-flight Entertainment: The Passengers’ Perspective’,

Journal of Air Transport Management, 5(4)

ii. Andrle, J. (1994), ‘Total Quality Management in Public Transportation’, Research Result

Digest, 3, pp 1-33

iii. Asher, M. (1996), ‘Managing Quality in the service sector’, Kogan Page, London

iv. Blumberg, B., Cooper, D. R., and Schindler, P. S. (2005)

v. ‘Business Research Methods’, (1sted.). Berkshire: McGraw Hill.

vi. Cooper, M. and Ellram, L. (1993), ‘Characteristics of Supply Chain Management and the

Implications for purchasing and logistics strategy’,

vii. The International Journal of Logistics Management,4(2) pp 13- 24

viii. Dale B. G., and Lascelles D. M., (1997), ‘Total quality management adoption:revisiting

the levels’, The TQM Magazine, 9(6), pp 418 – 428

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ix. Dale, B. G., Boaden, R. J., and Lascelles, D. M., (1994), ‘Levels of Total Quality

Management Adoption’ Managing Qualityedited by Dale, B.G.), New York, Prentice Hall

x. Dimitrades, Z. S., (2000), ‘Total Involvement in Quality Management, Team Performance

Management’ An International Journal,6(7/8) pp 117 – 121

xi. Okpere, E., (1990), ‘The National Airline Planning, Management and Development’, A

Write up in the Transport and National Development of Nigeria, Edited by Adegbeyeni,

O., and Rapu, O., 1990, Lagos, B G publishers

CHAPTER – 9
Page 76 of 81
ANNEXURE

QUESTIONNAIRE

Name: Designation:

1. Gender

o Male

o Female

2. Department

o Ticketing and Reservation

o Customer service agent

o Cabin Crew

3. Have you heard of TQM?

o Yes

o No

4. Are you satisfied with the authority given to you by your employer?

o Extremely Satisfied

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o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

5. Are you satisfied with the Regular Training provided by Air India?

o Yes

o No

6. Do you satisfied with the management encourage the teamwork effort?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

7. How are you satisfied that employees are involved in decision - making?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

8. Do you think Air India provide you Job flexibility?

o Yes
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o No

9. Do you think company provides monetary and non – monetary benefits to boost

employee motivation level?

o Yes

o No

10. How satisfied are your customers from the complaint handling process of Air

India?

o Extremely Satisfied

o Satisfied

o Indifferent

o Unsatisfied

o Extremely Unsatisfied

11. Do you think defection of customer is a result of poor service?

o Yes

o No

o Can’t Say

12. Do you think your organization respond quickly to customer complaint?

o Yes
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o No

o Can’t Say

13. Do your company honors and commitment and guarantee to all customers?

o Yes

o No

o Can’t Say

14. Does the accessibility of services to customers’ aids the efficiency in operation?

o Yes

o No

o Can’t Say

15. Does Air India keep to its flight schedule?

o Yes

o No

o Can’t Say

16. Do you think Flight delays and cancellation are due to controllable factors?

o Yes
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o No

o Can’t Say

17. Does your supplier’s operation aid the efficiency in your operations?

o Yes

o No

o Can’t Say

Page 81 of 81

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